Philip Tagliaferri NMLS #146242
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Down Payment Assistance

Local and state programs that may help with the cash you need to buy, when you and the home qualify.

Help With the Cash, From a Local Program

Down-payment assistance is money from a state, a city, a housing agency, or a nonprofit that can help with the cash due at closing. It is paired with a first mortgage, such as a conventional or FHA loan. It is not a separate way to skip the review of income, credit, and the home.

The help might be a grant you do not repay, a second loan that is forgiven after you live in the home for a set time, or a loan you do repay. Each place writes its own rules about who counts as a first-time buyer, how much you can earn, and which homes qualify. A program in one county can be closed while the next county still has funds.

Some programs ask you to take a homebuyer class. Some limit the price of the home or require you to live in it for a number of years. If you sell early, you may have to repay the help. Read that part before you count the money as yours.

A loan officer who works in that area can say which programs are open. This page cannot list them, because the list changes.

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Cash you still bring to the house
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In Everyday Language

Down payment assistance is help with the cash you bring to buy a home. A city, a state, or another program may offer it. Each one has its own rules about income, the home, and who can use it. A loan officer looks up what exists where you want to buy. This page does not list dollar amounts, because those programs change.

Help That Comes From Where You Buy

Down-payment assistance is help with the cash you bring to buy. A city, a state, or another program may offer it. These photos are homes, not listings, and they are not an offer.

People gathered around an outdoor table under string lights, with children running nearby.
A local program
A row of two-story houses along a curved suburban street.
The city matters

How the Help Can Work

The help might be a grant or a loan. It is paired with a first mortgage. This page does not list dollar amounts, because those programs change.

Swipe sideways to see each kind.

  • A couple holding house keys, with a dog between them in a living room.

    A Grant

    Sometimes the help is a grant you do not repay. Ask which kind applies before you count on the money.

  • Three people at a table, reviewing papers and holding pens.

    A Loan You Repay

    Sometimes it is a second loan, including one that is forgiven after you live in the home for a set time. Selling early can mean you repay it.

  • A white brick house with a teal front door, a stone column, and a curved stone walk.

    Paired With a First Mortgage

    The help sits alongside a conventional or FHA loan. It does not skip the review of income, credit, and the home.

  • A family of four standing on the front walk of a gray two-story house.

    A Home You Will Live In

    Many programs are for a home you will live in. Some also limit the price or ask you to take a homebuyer class.

  • Five coworkers reviewing papers around a conference table.

    Rules That Can Change

    Programs open and close, and funds can run out. A program in one county can be closed while the next county still has funds.

A couple and a small child sitting on the lawn in front of a brick house.

Who It Is Great For

  • Buyers who have some savings but not the full down payment
  • People buying in a place that currently offers a program
A modern two-story house with a pool and a wood deck.

Who It May Not Fit

  • Buyers whose income or home is outside the local rules
  • Anyone counting on help before it is confirmed for that address

Key Requirements

  1. A woman working at a desk with two monitors beside a window.

    01

    Credit

    A credit history a lender can review. The assistance program can add its own credit rules.

  2. A family of four standing at a white picket gate in front of a cream house.

    02

    Down Payment

    Your own savings plus, when it is allowed, help from a program. You may still need money for closing costs.

  3. Three people reviewing papers and a notebook around a low table.

    03

    Debt-to-Income

    Debts that fit the income you can document. Some programs also look at a household income limit.

These notes describe topics a lender often reviews. They are not minimums or a promise of approval.

A living room with a fireplace, built-in shelves, and a view into the kitchen.
A family sitting on the floor of a sunlit room with a small dog.

What to Remember

  • Help is local, and it is not available in every city
  • It can be a grant, a second loan, or another structure
  • It does not replace the review of income, credit, and the home
A child running across a lawn, holding hands with two adults.

Pros

  • Can reduce the cash you need to bring
  • Can sit alongside FHA, conventional, or another first mortgage
A man in a light blue jacket seated at a conference table, with coworkers talking behind him.

Cons

  • Programs open and close, and funds can run out
  • Extra rules and extra documents

How It Usually Goes

  1. 1

    An aerial view of a tree-lined neighborhood of single-family houses.

    Name the City and the Price Range

    Assistance is tied to a place. A program in one county may not exist in the next.

  2. 2

    A man in a white shirt explaining something to two people seated across from him.

    Check Income and Occupancy Rules

    Many programs are for a home you will live in, and some have income limits.

  3. 3

    A woman at a white desk, working at a computer with a notebook in front of her.

    Match It to a First Mortgage

    The help and the main loan have to work together.

  4. 4

    A family of three looking at a laptop together on a brown sofa.

    Keep a Backup Plan

    If the program is full or the home does not fit, you still have other ways to talk about the down payment.

An aerial view of a tree-lined neighborhood of single-family houses.

1 of 4. Name the City and the Price Range

Two people talking in chairs by a window, one taking notes.

Questions People Ask

Is Down Payment Assistance Free Money?

Sometimes it is a grant. Sometimes it is a loan you repay. Ask which one applies before you count on it.

Can I Use It With Any Loan?

No. Each program lists the loans it can pair with. A loan officer checks that list.

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